Finding Stock Rating Changes


Wall Street Sign. Author: Ramy Majouji

Image via Wikipedia

One of the great things about Morningstar Investment Research Center‘s stock data is the Morningstar rating. Our goal is to answer for you and your patrons, Is a company worth the price that the market is asking for its shares? To answer that question, we calculate stock ratings that represent our opinion of the firm’s intrinsic value relative to its price.

Since the market is constantly fluctuating, it only makes sense that we are continuously updating our star ratings for stocks. With the help of the Stock Screener on Morningstar Investment Research Center, anyone can find these companies that have rating changes from the previous day.

If you go to the Stock Screener and look under the dropdown menu, you’ll find a data point called “Other Morningstar Rating Data.” If you select that, the display will give you the one-day rating change. If you just want stocks with star rating changes, set the condition to not equal and the value to “Remained the Same.” The results will show you everything with a rating change, up or down.

If you are looking to distinguish between stocks that have risen or fallen, then modify the condition and value selections. This part can be a little trickier because using the wrong sign might end up giving you results for everything that did not change.

The proper combination to find stocks with ratings that have increased is to use Morningstar Rating Change (one day) > = Rose One Star. To find stock ratings that have decreased, use Morningstar Rating Change (one day) < = Fell One Star.

If you have questions on Morningstar’s approach to rating stocks, there is a document on the Help & Education page explaining the methodology and benefits to investors. If you would like additional stock commentary, check out our Morningstar StockInvestor publication on the new Newsletters page.

For more helpful tips on the new features to Morningstar Investment Research Center, or for an overview on the database, please join us for training on Jan. 6 at 11 a.m. Central time. Visit the Client Site http://library.morningstar.com/tracking to attend, or e-mail librarytraining@morningstar.com for further details.

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